VIX INDEX TO RISE

The VIX volatility index should break out of its triangular pattern within a couple of days and move higher...this would signal the top in the S&P500 index. The daily chart above shows how the VIX's trendlines meet by the end of this week with the S&P500 index in wave v of 5 which could then see the start of a major decline in global equities.

The VIX INDEX is telling us that there could be a dramatic fall in the S&P 500 INDEX...in fact, if the VIX should push through the 17 resistance level (see chart above) it should continue higher given that it has already violated its downtrend.